Roblox reports first quarter 2022 financial results
San mateo, calif.--(business wire)--roblox corporation (nyse: rblx), a global platform bringing millions of people together through shared experiences, released its first quarter 2022 financial results today and separately posted a letter to shareholders and supplemental materials on the roblox investor relations website at ir.roblox.com. first quarter 2022 financial highlights revenue increased 39% over q1 2021 to $537.1 million net cash provided by operating activities of $156.4 million; free cash flow was $104.6 million bookings decreased -3% over q1 2021 to $631.2 million average daily active users (daus) were 54.1 million, an increase of 28% year over year hours engaged were 11.8 billion, an increase of 22% year over year average bookings per dau (abpdau) was $11.67 april 2022 key metric estimates revenue was between $189 million - $192 million, up 30% - 32% year over year bookings were between $221 million and $224 million, down 8% - 10% year over year daus were 53.1 million, up 23% year over year hours engaged were 3.8 billion, up 18% year over year abpdau were between $4.16 - $4.22, down 25% - 26% year over year "we remained focused on delivering our innovation roadmap to unlock the full potential of the roblox platform and drive long-term returns for investors," said david baszucki, chief executive officer of roblox. "over the past two quarters, we have launched a number of notable innovations including spatial voice and layered clothing that will continue driving user growth, engagement and monetization." earnings q&a session roblox will host a live q&a session to answer questions regarding their first quarter 2022 results on wednesday, may 11, 2022 at 5:30 a.m. pacific time. the webcast will be open to the public at ir.roblox.com or by clicking here. forward-looking statements this press release contains “forward-looking statements” within the meaning of the “safe harbor” provisions of the private securities litigation reform act of 1995, including but not limited to, statements regarding our business, product and investment strategy and growth plans, our expectation of successfully executing such strategies and plans and our expectations for our april financial and operational results. these forward-looking statements are made as of the date they were first issued and were based on current expectations, estimates, forecasts, and projections as well as the beliefs and assumptions of management. words such as “expect,” “anticipate,” “should,” “believe,” “hope,” “target,” “continue,” “project,” “plan,” “goals,” “opportunity,” “appeal,” “estimate,” “potential,” “predict,” “may,” “will,” “might,” “could,” “intend,” “shall,” and variations of these terms or the negative of these terms and similar expressions are intended to identify these forward-looking statements. forward-looking statements are subject to a number of risks and uncertainties, many of which involve factors or circumstances that are beyond our control. our actual results could differ materially from those stated or implied in forward-looking statements due to a number of factors, including but not limited to risks detailed in our filings with the securities and exchange commission (the “sec”), including in our annual report on form 10-k filed for the fiscal year ended december 31, 2021 and other filings and reports we make with the sec from time to time. in particular, the following factors, among others, could cause results to differ materially from those expressed or implied by such forward-looking statements: our ability to successfully execute our business and growth strategy; the sufficiency of our cash and cash equivalents to meet our liquidity needs; the impact of our senior notes and any future indebtedness on our business, financial condition and results of operations; the demand for our platform in general; our ability to increase our number of new users and revenue generated from users; our ability to retain and expand our user base; the impact on our business of the covid-19 pandemic restrictions and the easing of those restrictions as vaccinations become more prevalent; the fluctuation of our results of operations and our key business measures on a quarterly basis in future periods, including as a result of changes in our accounting estimates; our ability to successfully develop and deploy new technologies to address the needs of our users; our ability to maintain and enhance our brand and reputation; our ability to hire and retain talent; news or social media coverage about roblox, including but not limited to coverage that presents, or relies on, inaccurate, misleading, incomplete, or otherwise damaging information; any breach or access to user or third-party data; and our ability to maintain the security and availability of our platform. additional information regarding these and other risks and uncertainties that could cause actual results to differ materially from our expectations is included in the reports we have filed or will file with the sec, including our annual report form 10-k for the fiscal year ended december 31, 2021. the forward-looking statements included in this press release represent our views as of the date of this press release. we anticipate that subsequent events and developments will cause our views to change. we undertake no intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. these forward-looking statements should not be relied upon as representing our views as of any date subsequent to the date of this press release. past performance is not necessarily indicative of future results. 2022 2021 $ 3,132,964 $ 3,004,300 179,732 307,349 43,123 32,091 398,194 406,025 3,754,013 3,749,765 338,879 271,352 286,242 221,285 159,404 137,524 55,854 59,666 118,071 118,071 3,368 2,933 $ 4,715,831 $ 4,560,596 $ 54,295 $ 64,395 223,323 180,769 149,816 163,906 1,747,294 1,758,022 2,174,728 2,167,092 724,359 616,834 259,841 194,616 988,034 987,723 1,408 1,408 4,148,370 3,967,673 59 58 1,705,201 1,568,638 (30 ) 62 (1,144,143 ) (983,941 ) 561,087 584,817 6,374 8,106 567,461 592,923 $ 4,715,831 $ 4,560,596 2022 2021 $ 537,134 $ 386,976 135,632 97,937 147,122 118,938 141,355 94,136 177,762 96,644 57,772 94,375 29,102 20,002 688,745 522,032 (151,611 ) (135,056 ) 245 5 (9,999 ) - (379 ) (1,050 ) (161,744 ) (136,101 ) 276 2 (162,020 ) (136,103 ) (1,818 ) (1,886 ) $ (160,202 ) $ (134,217 ) $ (0.27 ) $ (0.46 ) 588,521 291,074 2022 2021 $ (162,020 ) $ (136,103 ) 24,497 16,620 112,295 50,744 13,997 10,044 (567 ) (52 ) 311 - 128,183 13,256 (3,768 ) (782 ) (10,940 ) (10,967 ) (435 ) (3,401 ) (14,090 ) 3,425 (2,066 ) 16,273 - 304 (11,709 ) (2,069 ) 96,797 269,439 (14,049 ) (62,262 ) 156,436 164,469 (51,790 ) (22,133 ) - (256 ) (51,790 ) (22,389 ) 24,328 30,221 (150 ) - - 534,286 (154 ) - 24,024 564,507 (6 ) - 128,664 706,587 3,004,300 893,943 $ 3,132,964 $ 1,600,530 - - - - $ 86,813 $ 9,476 - 879,113 use of non-gaap financial measures this press release and the accompanying tables contain the non-gaap financial measures bookings, free cash flow, and adjusted ebitda. we use this non-gaap financial information to evaluate our ongoing operations, for internal planning and forecasting purposes, and ongoing operating trends for purposes of analyzing the covenants specified in the indenture governing our senior notes due 2030. we believe that this non-gaap financial information may be helpful to investors because it provides consistency and comparability with past financial performance. bookings is defined as revenue plus the change in deferred revenue during the period and other non-cash adjustments. bookings is equal to the amount of virtual currency purchased by users in a given period of measurement. we believe bookings provide a timelier indication of trends in our operating results that are not necessarily reflected in our revenue as a result of the fact that we recognize the majority of revenue over the estimated average lifetime of a paying user. the change in deferred revenue constitutes the vast majority of the reconciling difference from revenue to bookings. by removing these non-cash adjustments, we are able to measure and monitor our business performance based on the timing of actual transactions with our users and the cash that is generated from these transactions. free cash flow represents the net cash provided by operating activities less purchases of property, equipment, and intangible assets. we believe that free cash flow is a useful indicator of our unit economics and liquidity that provides information to management and investors about the amount of cash generated from our core operations that, after the purchases of property, equipment, and intangible assets, can be used for strategic initiatives, including investing in our business, making strategic acquisitions, and strengthening our balance sheet. adjusted ebitda is a measure of operating performance used in certain covenant calculations specified in the indenture governing our senior notes due 2030 that is not calculated in accordance with gaap and may not conform to the calculation of ebitda in other circumstances. adjusted ebitda should not be considered as a substitute for net loss as determined in accordance with gaap. we believe that, when considered together with reported amounts, adjusted ebitda is useful to investors and management in understanding our ongoing operations and ongoing operating trends for purposes of analyzing the covenants specified in the indenture governing our senior notes due 2030. non-gaap financial measures have limitations in their usefulness to investors because they have no standardized meaning prescribed by gaap and are not prepared under any comprehensive set of accounting rules or principles. in addition, other companies, including companies in our industry, may calculate similarly titled non-gaap financial measures differently or may use other measures to evaluate their performance, all of which could reduce the usefulness of our non-gaap financial information as a tool for comparison. as a result, our non-gaap financial information is presented for supplemental informational purposes only and should not be considered in isolation from, or as a substitute for financial information presented in accordance with gaap. a reconciliation table of the most comparable gaap financial measure to each non-gaap financial measure used in this press release is included at the end of this release. we encourage investors and others to review our business, results of operations, and financial information in their entirety, not to rely on any single financial measure, and to view these non-gaap measures in conjunction with the most directly comparable gaap financial measure. 2022 2021 $ 631,206 $ 652,277 2022 2021 $ 537,134 $ 386,976 96,797 269,439 (2,725 ) (4,138 ) $ 631,206 $ 652,277 2022 2021 $ 104,646 $ 142,080 2022 2021 $ 156,436 $ 164,469 (51,790 ) (22,133 ) - (256 ) $ 104,646 $ 142,080 2022 2021 $ 67,929 $ 190,174 2022 2021 $ (162,020 ) $ (136,103 ) (245 ) (5 ) 9,999 - 379 1,050 276 2 24,497 16,620 112,295 50,744 96,797 269,439 (14,049 ) (62,262 ) - 50,689 $ 67,929 $ 190,174 about roblox roblox’s mission is to connect a billion people with optimism and civility. every day, tens of millions of people around the world have fun with friends as they explore millions of immersive digital experiences. all of these experiences are built by the roblox community, made up of millions of creators. we believe in building a safe, civil, and diverse community—one that inspires and fosters creativity and positive relationships between people around the world. for more information, please visit corp.roblox.com. roblox and the roblox logo are among the registered and unregistered trademarks of roblox corporation in the united states and other countries. © 2022 roblox corporation. all rights reserved. source: roblox corporation
